Ginnie Mae Backs Carrington Mortgage Services

On Tuesday ""Ginnie Mae"":http://www.ginniemae.gov/ approved mortgage lender and servicer ""Carrington Mortgage Services"":http://www.carringtonms.com/webapps/cms/index.do, LLC to issue single-family mortgage-backed securities, allowing the company to package and securitize ""Federal Housing Administration"":http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/fhahistory (FHA) loans.

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""This approval expands our capabilities as a mortgage originator and servicer, and ultimately allows us to better serve our retail and wholesale customers,"" noted Steve Patton, EVP for mortgage lending at ""Carrington"":http://www.carringtonms.com/webapps/cms/index.do. ""As others exit the origination sector, particularly in wholesale, ""Carrington"":http://www.carringtonms.com/webapps/cms/index.do is committed to increasing its presence and providing needed liquidity for qualified borrowers, as well as high quality investments for purchasers of our [""Ginnie Mae"":http://www.ginniemae.gov/ ] securities.""

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According to a statement, ""Carrington"":http://www.carringtonms.com/webapps/cms/index.do has, until now, originated conventional, jumbo, ""FHA"":http://portal.hud.gov/hudportal/HUD?src=/program_offices/housing/fhahistory, and ""Veterans Affairs"":http://www.va.gov/ loans, which it sold exclusively to servicers in the secondary market. The green-light from ""Ginnie Mae"":http://www.ginniemae.gov/ means that ""Carrington"":http://www.carringtonms.com/webapps/cms/index.do will be able to skip the credit overlays, as required by individual lenders, and make an array of financial products directly available to consumers and brokers.

Speaking to _MReport_, Patton says that the ""Ginnie Mae"":http://www.ginniemae.gov/ approval process evolved over a 12-month process. The company underwent an extensive application and due diligence process that required on-site visits, credit evaluations, and financial tests.

""It took over 12 months but it's certainly worth the effort,"" he says.

The statement held that ""Carrington"":http://www.carringtonms.com/webapps/cms/index.do ""embraces the new capability,"" and hopes to provide consumers with competitively priced loans through its national retail network and wholesale lending division.

""We're grateful to ""Ginnie"":http://www.ginniemae.gov/ for approving us and look forward to providing these opportunities to our customers,"" Patton adds.

According to its Web site, ""Carrington"":http://www.carringtonms.com/webapps/cms/index.do supplies brokers and consumers with residential loans by way of retail and wholesale channels.